Euro-zone final July manufacturing PMI up at 56.7

WilliamL. Watts

LONDON (MarketWatch) -- The final reading of the Markit euro-zone manufacturing purchasing managers index for July rose to 56.7, up from 55.6 in June and topping the preliminary estimate of 56.5. A reading of more than 50 indicates activity expanded, while a figure of less than 50 signals contraction. The figure was the highest in three months, but was driven in large part by a surge in German production, said Chris Williamson, chief economist at Markit. "This is clearly a very uneven recovery and the national variations in manufacturing performance may well feed through to similar divergences in consumer spending via the labour market, which will worsen the imbalances" in the euro zone, he said.

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